Archive for July, 2013
Many people are under the misguided assumption that real estate is no longer a good investment. This idea stems from the recent real estate market downturn and its slow recovery. Foreclosures remain high, a fallout from the predatory lending practices that took place during the real estate boom when mortgages were given to people who could not afford them. As a result, banks tightened up their lending guidelines. A lot of people now believe that real estate is not a good investment anymore because mortgages are harder to acquire and housing values are still low.
However, real estate remains a strong and smart investment. Home values in many areas might be low now, but experts believe they will not stay that way. Housing has a history of always coming out on top eventually. It may take many years, even a decade or more, for housing values to increase. During that time, houses can be had for unbelievable bargains. This makes real estate a good long-term investment. Under the right circumstances, you can buy low now and sell very high later. Even gold isn’t as sure of an investment as real estate. Many investors buy inexpensive properties and rent them out for extra income. Then, when the market does go up, they sell them for a nice profit. Some look at this as a worthwhile retirement income strategy.
Enough people know this strategy that the best properties don’t stay on the market for long. Real estate agents and home inspection companies, like A Buyer’s Choice Home Inspections, are also profiting from the real estate market. Their clientele may have changed somewhat, however. For example, A Buyer’s Choice Home Inspections is seeing many more investors as clients today than when Bill Redfern started the company back in 2007. The company still sees plenty of people who are simply looking to buy a new home in which to live, but the number of investor clients has skyrocketed.
Maybe you never thought of yourself as a landlord. Maybe you don’t want the headache of having renters in a variety of properties. That’s okay. You can still take advantage of the real estate market today when you buy a home that you intend to stay in for a long time. If you believe you’ll stay in your home for a decade or so, then buying a home can be a good investment strategy. When you eventually sell your house, you may profit handsomely if the market it up considerably. Many successful sellers scale up to a bigger, better home or use the money to travel the world. Just be sure you have a good real estate agent and a reputable home inspection company like A Buyer’s Choice Home Inspections to assist you before you make that investment. You’ll be glad you did.